Texas craft beer has had a lot to celebrate recently: a win at the 2014 Great American Beer Festival, rising sales and the introduction of Texas Senate Bill 1386, which would grant Texas craft brewery visitors the ability to take home craft beer purchased at Texas craft breweries.
In the wake of these positive steps for Texas craft brewers comes House Bill 3389, which has received a mixed response from brewers.
Led by Texas State Representative Senfronia Thompson of Houston, the bill would decrease the amount of beer Texas breweries can self-distribute from 40,000 barrels to 5,000 barrels.
This comes as a reversal from 2013, Senate Bill 516/517, which actually increased self-distribution for craft breweries producing 125,000 barrels or less to 40,000 barrels. This seeming about-face in policy leaves many in Texas scratching their heads.
“It’s pretty disheartening, and this is way out of the norm for the national trends,” said Rassul Zarinfar, the owner of Houston microbrewery Buffalo Bayou Brewing Company.
For large breweries, distributors are great partners to have. They assist in getting your craft brew to bars and restaurants across the country, mobilizing their vast networks. But when your brewery is on the smaller side, a distributor can provide the same great benefits but could also seem like an unnecessary middleman.
State Representative Senfronia Thompson’s motivation in this matter is somewhat unclear. According to the National Institute of Money and State Politics, Thompson has received roughly $34,000 from the Beer Alliance of Texas, dating back to 2002. Since 1998, she has received contributions of $20,050 from lobbyists Licensed Beverage Distributors. Furthermore, Rep. Thompson has pocketed $15,670 during the same time period from Wholesale Beer Distributors of Texas. Some might call this a coincidence, while those on the other side of the argument might point fingers.
A statement from Open the Taps, a craft beer advocate group, expressed disappointment over the proposed bill.
“The [Texas] Craft Brewers Guild is lobbying hard against it,” says Zarinfar, whose brewery is one of many within the guild. “There will be many negative unintended consequences to this legislation that will restrict investment, hamper creativity and limit consumers’ choice in the long run.”
What do you think of House Bill 3389? Leave us a note in the comments below.
